Buy custom The Fisher Effect
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| Topic: |
Business
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| Number of pages / Number of words: |
4 / 895 |
Essay's paper body
Management of working capital requires the management of current assets and current liabilities. Current assets consist of cash, inventory and accounts receivable. The FM must choose how much cash to have available. Cash is liquid, but the trade-off is lower returns. High inventories provide fast service for the customer but higher costs to hold said inventory...
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Lower inventory levels have lower holding cost but increase the chance of stock outs and rush orders (Short term financial management). Using historical data, financial analysis and modeling, the FM must reach an optimum inventory level. Accounts receivable is credit offered to customers, trade credit...
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General points of the essay
Current and Non-current Assets
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Capital Assets
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Current Events
Current Event
Current Account
Current Technology
Current Affairs
current issues
Current Trends
Current economy
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